DHAKA — The United Nations Development Programme (UNDP) and City Bank PLC have forged a strategic partnership to accelerate climate finance in Bangladesh by advancing the country’s emerging thematic bond market. During a recent signing ceremony at the City Bank head office, UNDP Resident Representative Stefan Liller and City Bank CEO Mashrur Arefin signed a Memorandum of Understanding aimed at mobilizing private-sector investment for climate-resilient development. Liller emphasized the critical need to unlock new financing sources for Bangladesh, noting that the country remains uniquely vulnerable on the frontlines of the global climate crisis.
Under this new agreement, the UNDP will provide specialized technical assistance to help City Bank issue the first green bond by a commercial bank in Bangladesh. The proposed thematic bond is specifically designed to fund eligible green projects, focusing heavily on climate adaptation and mitigation initiatives to bridge the persistent global gap in adaptation financing. Arefin noted that the collaboration brings the necessary technical strength and global reach to open new financing pathways and spur sustainable growth. To ensure the bond attracts both domestic and international investors, the UNDP will facilitate targeted support aligned with rigorous global standards, providing comprehensive guidance on green bond frameworks, impact measurement, transparent reporting, and the strict governance of proceeds.
